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Why do economists use economic models when making predictions or assumptions about the economy? Which economic model do you believe is the most beneficial to YOU at the present time? Why?
Consider the statement, “Monopoly power comes from market acceptance, not from a patent, a prettier product, a slick advertising campaign, or anything else. So rather than spend your time in court, you should be out there drumming up business.” Do yo..
Illustrate what is the product maximizing level of output for this producer. Will the producer make a positive profit at this level of output.
If Y is a continuous, uniformly distributed random variable over the interval (4,10), then the value of the PDF between 4 and 10 is: (
Your income last year accounts to $77,000.00 tax bracket are as follows :$0 - 20,000 pays 5% Above $20,000 to $50,000 pays 10% above $50,000 pays 15%. How much is your tax at the end of the year using 15% proportional income tax? How much is your tax..
A design engineer is responsible for an important sub element of a large project at a firm. The project has fallen behind schedule, and the important client is very angry and threatening to sue. The boss is expecting the engineer’s design review to g..
Illustrate what are some more common restrictions on the activities of multinational corporations in host countries
The BlackBerry production function is Q = 2.83L1.52K0.82. Epple et al. (2010) estimate that the production function for U.S. housing is q = 1.38L0.144M0.856, where L is land and M is an aggregate of all other mobile, non-land factors, which we call m..
The aluminum industry faces a private marginal cost curve PMC = 2Q and a market inverse-demand curve of PD = 60 – QD. However, production creates an externality with marginal damages of MD = Q. Graph the private marginal cost, the social marginal cos..
Describe some of the conflicting social, economic, and environmental costs, benefits, and issues associated with construction of the Three Gorges Dam.
If $7,000 is borrowed and repaid with four quarterly payments of $600 during the first year and four quarterly payments of $1,500 during the second year after receiving the $7,000 loan, what is the effective annual interest rate for the loan?
Consider a country in autarky with only two inputs, capital(K) and labor(L), that produces only two goods apples (A) and bananas (B). What is the condition for efficiency in production?
A 10% increase in the price of pizza causes a 10% drop in the quantity of both pizza and beer sold. Describe elasticities and the nature of the two products.
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